Why short term debts during recession?

During a recession, short-term debts can be beneficial for businesses and individuals as they provide immediate liquidity to manage cash flow needs. They allow borrowers to cover operational costs, pay employees, and maintain essential functions without committing to long-term financial obligations. Additionally, short-term loans often have lower interest rates, making them a more manageable option during uncertain economic times. However, reliance on short-term debt can be risky if the recession persists, potentially leading to financial strain when repayment is due.